Uber in talks with ComfortDelGro about potential strategic alliance

ComfortDelGro is in exclusive talks with Uber about a potential strategic alliance, reports say. If the companies enter into any kind of alliance it may result in Singapore’s largest taxi operator using the U.S. company’s fleet management and booking software. ComfortDelGro may also make its taxis available to users of Uber’s popular ride hailing app as part of the agreement.

It is being estimated that the proposed tie-up would strengthen ComfortDelGro’s position as a major mobility service provider. The tie up is mutually beneficial for both the companies. On one hand, it will help ComforDelGro suffering due to dropping a number of cars as the hirers switched to private cars and rely on Uber and Grab for bookings. This tie-up will also benefit Uber, which is struggling to compete with Grab, Southeast Asia’s largest ride-hailing company.

ComfortDelGro had previously tried to tie up with start-ups Karhoo and Ryde. The company also has its presence in several other countries including the United Kingdom, Australia, and China.

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